Hood County Commissioners Reject Data Center Pause, Seek State Action Instead
February 26, 2026 – GRANBURY — The Hood County Commissioners Court voted 3-2 this week to reject a proposed moratorium on new data center developments, opting instead to unanimously pass a resolution urging Greg Abbott to call a special legislative session to address the issue statewide.
Commissioners have faced mounting pressure from residents concerned about water usage, noise and long-term environmental effects tied to artificial intelligence-related data centers and power generation projects proposed in the area.
The debate comes as Hood County, located southwest of Fort Worth, has received five data center applications in recent months, signaling growing interest from developers seeking land and power access outside major metro areas. In January, commissioners granted conditional approval to one project proposed by Florida-based Sailfish, clearing an early hurdle for what could become a large-scale digital infrastructure facility.
Earlier this month, the all-Republican court also voted 3-2 against a six-month moratorium that would have temporarily halted additional approvals while officials studied the long-term impacts of data centers on water usage, electric demand, and local infrastructure.
Opponents of the moratorium argue counties lack clear statutory authority to impose such pauses on private development. One commissioner said state law limits the regulatory tools available to counties, leaving them unable to enact temporary bans without risking legal challenges.
However, Shelby Slawson (R-Stephenville), whose district includes Hood County, has publicly disputed that interpretation, suggesting counties may have broader authority than some local officials believe.
Data centers — large facilities that house servers supporting cloud computing, artificial intelligence, and digital storage — have expanded rapidly across Texas due to the state’s business-friendly climate and relatively low energy costs. Supporters say the projects bring tax revenue and infrastructure investment, while critics raise concerns about strain on the electric grid and local water supplies.
By calling for state-level guidance, Hood County leaders signaled they want clearer rules before additional projects move forward.
